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2) The following is Arkadia Corporation's contribution format income statement for last month. Sales $1.200.000 Less: Variable Expenses 800.000 Contribution Margin $400,000 Loss Fixed Expenses

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2) The following is Arkadia Corporation's contribution format income statement for last month. Sales $1.200.000 Less: Variable Expenses 800.000 Contribution Margin $400,000 Loss Fixed Expenses 300.000 Net Income $100,000 The company has no beginning or ending inventories and produced and sold 20,000 units during the month Required a What is the company's contribution margin ratio? What is the company's break-even in units? c. If sales increase by 100 units, by how much should net income increase? d How many units would the company have to sell to attain target profits of $125 000? e. What is the company's margin of safety in dollars? 1 What is the company's degree of operating leverage

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